U.S. consumer confidence declined in July, missing market forecasts, as Americans expressed growing caution over current business and labor market conditions amid ongoing geopolitical uncertainties.
The Conference Board Consumer Confidence Index decreased by 1.4 points to 90.8 in July, down from an upwardly revised 92.2 in June, the research institution said in a release issued on Tuesday.
The Present Situation Index, based on consumers' assessment of current business and labor market conditions, fell by 3.6 points to 114.9, marking its third consecutive monthly decline. Net views of current business conditions -- the share of consumers saying conditions are "good" versus "bad" -- fell by 2.6 percentage points to a positive 1.1 percent, barely holding onto positive territory.
Perceptions of current employment conditions also softened. The labor market differential -- the share of consumers saying jobs are "plentiful" minus the share saying jobs are "hard to get" -- dipped by 0.7 percentage points to a positive 3.1 percent.
Meanwhile, the Expectations Index, which measures consumers' short-term outlook for income, business, and labor market conditions, remained unchanged at 74.7 in July.
However, the underlying data showed a mixed outlook, as two of the index's three components declined. Net expectations for business conditions dipped by 1.5 percentage points to negative 3.3 percent, while net expectations for household income softened by 0.5 percentage points to positive 7.3 percent.
Consumers' write-in responses on factors affecting the economy continued to be mostly pessimistic in July, said the release. References to prices and oil and gas eased in frequency but remain elevated.
U.S. consumer confidence falls in July
